Ragland v. McFall

Citations

• 137 Ill. 81
• 27 N.E. 75

Syllabus

<p>1. Fraudulent conveyance—preference among creditors. It is competent for a private corporation to prefer the wife of its president, who is a creditor, and turn its property over to her in payment of her debt, in the absence of any evidence of a fraudulent purpose.</p> <p>2. Same—sale and surrender of property to a creditor—evidence—as giving character to the transaction. In replevin of personal property levied on by a judgment creditor of a corporation, the plaintiff claimed title under a sale and surrender made by the corporation long prior to the judgment, in payment of a debt owing by the corporation to the plaintiff, and possession up to the time of the levy. To impeach this sale and transfer of possession, the defendant, the sheriff who made the levy, on the trial offered in evidence a deed of trust, made and acknowledged by the corporation in the State of Missouri and recorded in this State, to secure the plaintiff’s debt, prior to the alleged purchase, and also offered to show a sale of the property by the trustee to the plaintiff, which the court refused to admit, on plaintiff’s objection: Held, that the proposed evidence was'properly rejected, as the purchase by the plaintiff was not inconsistent with a prior mortgage on the same property.</p> <p>3. Where a married woman purchased all the property of a corporation of which her husband was the president, in payment and satisfaction of several large loans which she claims to have made to the corporation, and the bona fldes of her purchase is questioned, it is competent for her to show the loan of large sums of money to her about the date of her loans to the company. Such fact, when proved, is competent to show that she was possessed of and had the control of means in her own right, entirely independent of her husband.</p> <p>4. Same—surrender of mortgaged property to mortgagee. The fact that a creditor may have taken a chattel mortgage to secure his debt, whether valid or not as against creditors, will not